Patricia Company had poor internal control over its cash transactions. Facts about its cash position...
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Patricia Company had poor internal control over its cash transactions. Facts about its cash position at November 30, 2022, were as follows: The cash ledger showed a balance of $18,901.62, which included undeposited receipts which were on hand at November 30. A credit of $100 on the banks records did not appear on the books of the company. The balance per bank statement was $15,550. Outstanding checks were #62 for $116.25, #183 for $150, #284 for $253.25, #8621 for $190.71, #8623 for $206.80, and #8632 for $145.28. The cashier subtracted undeposited receipts of $3,794.41 and prepared the following reconciliation:
Balance per books, November 30, 2022
$18,901.62
Add: Outstanding checks
8621
$190.71
8623
206.80
8632
145.28
442.79
19,344.41
Less: Undeposited receipts
(3,794.41
)
Balance per bank, November 30, 2022
15,550.00
Deducted: Unrecorded credit
100.00
True cash, November 30, 2022
$15,450.00
Prepare a working paper showing how much the cashier embezzled.
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